Abstract:
1. Introduction
Banking sector Development (BSD), Human Capital (HC), and
Technological Advancement (TA) are the most considered factors in the
economy across the globe when capturing growth. This study attempts to
examine the influence of BSD, HC, and TA on EG, which shows vague
conclusions in the empirical literature. Further, this study follows a
systematic analysis technique that advances the reliability of the findings.
Hence, this study aims to explore the impact of BSD and HC on EG When TA
plays a Moderator role in South Asian Countries.
2. Research Methodology
The study used 7 South Asian Countries and 12 years from 2008 to 2019 as
the sample, adopting a quantitative research approach. The analysis was
done with long-panel data analysis techniques named Pool Mean Group
(PMG), Mean Group (MG), and Dynamic Fixed Effect (DFE). As per the
Hausman test statistics, PMG was selected.
3. Findings and Discussion
Analysis results found that BSD and HC show a long-run positive significant
effect on EG, and TA has a negative moderating effect. However, HC is the
only variable that shows a positive relationship with EG in the short run.
4. Conclusion and Implications
The findings reveal that both BSD and HC are significant variables to
determine EG in the short and long run, while HC affects the EG in the
shortrun. Investing in TA with BSD on EG negatively impact in the long-
term. Implications to the banking sector that should be prioritized for
efficient and secure implementation of new technologies in the South Asian
context.
